Intermediate accounting demystified

Acknowledgments

Introduction

Part 1: Balance Sheet: Assets-What Do I Own?

Cash and accounts receivable

Overview

Financial statement presentation

Cash

Bank reconciliations

Accounts receivable

Internal controls

Quiz

Inventory

Overview

Financial statement presentation

Inventory systems

Cost flow assumptions

Comparison of FIFO,LIFO, and weighted average

Periodic and perpetual

Exception to the historical cost principal

Two estimation methods

Errors

Internal controls

Quiz

Long-term receivables

Financial statement presentation

Journal entries

Internal controls

Quiz

Investments

Overview

Terminology

Financial statement presentation

Trading securities

Available-for-sale securities

Debt securities held to maturity

Internal controls

Quiz

Property, plant, and equipment

Overview

Financial statement presentation

Acquisition of property, plant and equipment

Depreciation

Putting more money into existing assets

Eliminate assets

Internal controls

Quiz

Intangibles

Overview

Financial statement presentation

Characteristics of intangibles

Acquisition methods

Amortization rules

Individual intangibles

Internal controls

Quiz

Balance sheet: liabilities-what do I owe?

Current liabilities

Overview

Financial statement presentation

Characteristics of CL

CL that are based onset contract amounts

CL that are based on operations

CL that are based on estimates

Contingencies

Internal controls

Quiz

Long-term liabilities

Overview

Financial statement presentation

Bond selling prices

Issuing bonds

Bond discount amortization

Bond premium amortization

Issuing bonds with detachable stock warrants

Converting bonds into common stock

Internal controls

Quiz

Part 3: Balance Sheet: Stockholders' Equity-What Is Left Over?

Contributed capital

Overview

Financial statement presentation

Stock issuances involving cash

Stock subscriptions

Combined sales of stock

Stock options

Preferred stock

Treasury stock

Internal controls

Quiz

Retained earnings

Overview

Financial statement presentation

Cash dividends

Property dividends

Scrip dividends

Stock dividends

Liquidating dividends

Quiz

Earning per share

Overview

Financial statement presentation

Capital structures

Basic EPS

Diluted EPS

Ranking

Diluted EPS computation

Quiz

Income Statement-how much have I earned?

Income measurement

Overview

Financial statement presentation

Cash versus accrual basis

Recognize revenue prior to sale

Recognize revenue after sale

Internal controls

Quiz

Income taxes

Overview

Financial statement presentation

Permanent differences

Temporary differences

Deferred tax assets

Deferred tax liabilities

Complex examples

Reconciliation of book and taxable income

Quiz

Pensions

Overview

Financial statement presentation

Definitions

Defined benefit pension plans

Financial statement presentation-for real this time

Quiz

Leases

Overview

Financial statement presentation

General information

Classification of leases

Operating leases-lessee's perspective

Operating leases-lessor's perspective

Capital leases

Bargain purchase options

Guaranteed/unguaranteed residual values

Initial direct costs of lessor

Sale leaseback

Required disclosures

Other topics

Quiz

Statement of cash flows-where's the cash?

Cash flow statement

Overview

Financial statement presentation

Operating activities

Investing activities

Financing activities

Other relevant topics

Quiz

Accounting changes

Overview

Financial statement presentation

Change in accounting principle

Change in accounting estimate

Change in reporting entity

Correction of an error

Quiz

International financial reporting standards

Overview

Current status

Final exam

Answer key

Appendix A

Appendix B

Index.